Restructuring of the Shared Service Center Germany & establishment of an order processing center in the Czech Republic for a medium-sized large company
in the role of Director Purchasing Europe
Company information
Company: Large mid-sized company
Industry: Glass / Glass Ceramics
Revenue: €2.2 billion
Number of employees: 16,200
Situation at the client:
The implemented shared-service model in conjunction with regional tactical purchasing no longer meets the requirements of the purchasing department.
Headquarters: Mainz, Germany
Website:
SCHOTT.com
Mandate information
Role: Head of Special Project
Period (duration): 10/2017 to 03/2019 (18 months)
Responsibilities:
- Project budget: €300,000
- 3 employees
Mandate
- Optimization of order processing from concept development via transformation support to operational implementation with the team
- Increase value creation in regional purchasing across European plants by improving the focus on value-adding activities
- Leveraging labor cost advantages by relocating bulk order processing to Eastern Europe
- Reduction of process costs in order processing
Measures
- Analysis of the initial situation, feasibility, and value creation/savings potential
- Design of the “Order Processing Center (OPC)” including “captive nearshoring” analysis and site selection “Captive Nearshoring” analysis and site selection
- Gradual establishment of the OPC in the Czech Republic
- Transfer of processes
- Reorganization of the Shared Service Center in Germany
Results
- Successful transfer of bulk order processing to a newly established processing team in in the Czech Republic
- 20% increase in value creation by redeploying full-time positions (FTEs) in the German team to higher-value activities (negotiations, tenders, etc.)
- Cost savings > 30%
Key challenges
- How do I involve the existing team in the process while ensuring day-to-day operations continue and implementing management’s requirements? A balancing act in communication that had to be mastered
- Designing a socially acceptable solution within the company for the affected employees
- The conception of a socially acceptable solution within the company for the affected employees
Thank you for giving me the opportunity to take on responsibility. Our collaboration was always characterized by mutual respect, transparency, and tolerance for each other’s opinions.
Alexandra Schröder
Area Lead of Purchasing DACH region
Share on Network
